Apex/Murtagh [1993] IECA 20 (10th June, 1993)

Apex/Murtagh [1993] IECA 20 (10th June, 1993)

The restriction on soliciting customers in clause 15, even as amended to 18 months, exceeds what is required for the legitimate commercial interests of Apex and constitutes a restriction of competition under Section 4(1) of the Competition Act, 1991. The agreement does not qualify for a licence under Section 4(2) because the restriction is not indispensable.

Citation
[1993] IECA 20
Parties
Applicant: Apex Fire Protection Ltd; Respondent: Mr. Noel Murtagh
Jurisdiction
Ireland
Procedural Posture
Competition Authority Proceeding / Final Decision
Outcome
Licence refused
Legal Topics
Non Compete Clauses, Employee Agreements, Restriction of Competition, Confidentiality Obligations
Competition Law Employment Law Non Compete Clauses Employee Agreements Restriction of Competition Confidentiality Obligations

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 9 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

Apex Fire Protection Ltd

Applicant

Mr. Noel Murtagh

Respondent

Procedural Posture

Competition Authority Proceeding / Final Decision

Legal Issues

  1. 1 Whether clause 15 of the employment contract constitutes a restriction of competition under Section 4(1) of the Competition Act, 1991
  2. 2 Whether the restriction on soliciting customers and divulging information is indispensable for the protection of Apex's legitimate commercial interests
  3. 3 Whether the agreement qualifies for a licence under Section 4(2) of the Competition Act, 1991

Ratio Decidendi

The restriction on soliciting customers in clause 15, even as amended to 18 months, exceeds what is required for the legitimate commercial interests of Apex and constitutes a restriction of competition under Section 4(1) of the Competition Act, 1991. The agreement does not qualify for a licence under Section 4(2) because the restriction is not indispensable.

Court Disposition

Licence refused

Orders

  • The Authority refuses to grant a licence to the agreement between Apex Fire Protection Ltd and Mr. Noel Murtagh.